"Evidence clearly indicates that it is neither ideal (Adarsh) nor role model but a bad precedent. Adarsh is a saga of ideal co-operation but it is a shameless tale of blatant violations of statutory provisions, rule and regulations," the report said.
It expressed "deep regret" over the "greed, nepotism and favouritism" involved in the scam.
"It reflects greed, nepotism and favouritism on part of people who were in one way or the other associated with Adarsh. It is sad story of unscrupulous greed of some persons closely connected with the society.
"Some persons not satisfied with the allotment of one single flat have tried and succeeded in securing flats for their nears and dear ones. They went to the extent of benami transactions in violation of provisions. That such an episode should take place in Maharashtra is a matter of deep regret," it said.
The judicial panel, however, acknowledged the state government's ownership of the land and said it did not belong to Ministry of Defence, defence personnel nor was it reserved for Kargil martyrs or war veterans.
Ashok Chavan, during whose tenure the scam surfaced, was among 13 people who were charge sheeted by CBI in connection with the case.
Chavan had challenged his inclusion in the charge sheet, saying no sanction for prosecution was taken from the Governor which was countered by CBI which argued since he was a former minister at the time of being charge-sheeted, there was no need for sanction.
The court had, however, directed the agency to get sanction for Chavan's prosecution which was denied, apparently leaving CBI with little choice but to close the case against him.
CBI had alleged in its charge sheet that Chavan had increased the floor space index of the controversial Adarsh society in return for flats for his relatives. Chavan had also asked the housing society to take 40 per cent members from civilian category, when it was originally meant only for war veterans, CBI had alleged, adding that Chavan played a key role in the scam.
Chavan's mother-in-law Bhagvati Sharma, sister-in-law Seema Sharma and father-in-law's brother Madanlal Sharma have flats in the society. All of them have been held ineligible by the judicial panel to own flats in the society.
CBI had charged Chavan and 12 others for criminal conspiracy, cheating and criminal misconduct under Indian Penal Code and also under Prevention of Corruption Act.
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